AURORA, Colo. — Bespoke Extracts Inc., a Colorado-based company operating in the regulated cannabis markets in the United States, reported its financial results for the first quarter ended March 31, 2025.
Financial Highlights for Q1 2025
Revenue Growth: Sales increased to $263,159, up 1.0% from $260,428 in Q1 2024, fueled by strong direct sales of branded pre-rolled joints and expanded joint production services for licensed dispensaries in Colorado.
Improved Gross Profit: Gross profit rose to $110,779 from $102,581 in Q1 2024, driven by enhanced production efficiencies in pre-rolled joints, though partially offset by higher packaging and testing costs for new product launches.
Reduced Operating Expenses: Operating expenses fell to $356,117 from $405,384 in Q1 2024, reflecting lower stock-based compensation, reduced salaries, and decreased professional fees.
Reduced Net Loss: Net loss decreased to $260,521, from $314,118 in Q1 2024.
Strategic Rebranding and Product Expansion under The Joint Company
In Q1 2025, Bespoke Extracts rebranded as The Joint Company (TJC), a pivotal step in its growth strategy. TJC scaled its white-label processing business and launched two new branded products, Doobskis and Dutch Blunts, which have gained significant traction in Colorado’s regulated cannabis market. The Fresh Joint product line continues to increase product revenue, primarily through growth in multi-packs.
Operational Highlights
Through its subsidiary, Bespoke Extracts Colorado LLC, the Company operates a marijuana-infused products manufacturing facility in Aurora, selling its products and services to licensed dispensaries in Colorado.
Achieved cost efficiencies in raw materials, packaging, and labor, boosting gross margins despite increased marketing and sampling costs for new product launches.
Daily pre-roll production increased by 32% compared to Q1 2024, enhancing TJC’s ability to offer competitive processing services and lower priced products in Colorado.
The Company is exploring expansion of TJC into other state-regulated cannabis markets, leveraging its successful Colorado operations experience to pursue new growth opportunities.
Management is focused on expanding market share and optimizing operations for sustainable, long-term growth.
Management Commentary
Michael Feinsod, CEO, stated: “Q1 2025 marked a transformative period for Bespoke Extracts as we rebranded to The Joint Company and introduced Doobskis and Dutch Blunts. These initiatives, combined with enhanced third-party processing capabilities, have significantly strengthened our market position and revenue potential. Despite an 8.8% contraction in Colorado’s regulated cannabis market during the quarter ending March 31, 2025 compared to Q1 2024, we achieved year-over-year growth. Our improved manufacturing processes are delivering strong results, and we expect continued gross margin improvements as we scale. We remain committed to disciplined financial management and strategic expansion in the regulated cannabis market.”
Fiscal Q2 2025 Outlook
Revenue Growth: Based on preliminary Q2 2025 sales data, the Company projects revenue exceeding $385,000 for the quarter ending June 30, 2025, compared to $278,163 in the quarter ended June 30, 2024, driven by continued growth of FreshJoints, strong demand for Doobskis and Dutch Blunts and expanded third-party processing services.
Operational Efficiencies: Continued improvements in manufacturing processes are expected to support higher production volumes and consistent product quality.
Gross Margin Improvement: Enhanced production efficiencies and cost management in raw materials, packaging, and labor are projected to drive higher gross margins, despite increased marketing investments for new product launches.
About Bespoke Extracts Inc.
Bespoke Extracts Inc. is a Nevada corporation operating in the regulated cannabis markets in the United States. Through its wholly-owned subsidiary, Bespoke Extracts Colorado LLC, the Company operates a marijuana-infused products manufacturing facility in Aurora, Colorado, focusing on delivering high-quality products to licensed dispensaries under its rebranded portfolio, The Joint Company.
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